What is an "As Is" Contract?
The “As Is” contract places no repair obligations on the seller, while the standard contract has default terms requiring that the seller make certain types of repairs up to a certain dollar amount.
What is the difference between the two contracts in terms of the "Inspection Clause?"
The standard contract obligates the seller to make a repairs per the inspection, up to a predetermined dollar amount within the inspection period.
Under the As Is contract, the seller has no obligation to repair anything. The buyer, in the buyer’s sole discretion, can cancel the contract within the inspection period if the buyer determines the property is not acceptable. Although the seller has no obligation to make repairs, the buyer can still make requests for the two parties to negotiate
What is the difference between the two contracts in terms of the "Seller Disclosure"?
While both contracts entail the seller to disclose all information known pertaining to the value of the property, the As Is contract further protects the seller by "making no representation of any type, either express or implied, as to the physical condition or history of the property.”
So, which one is better?
Neither is "better" per se. It's all based on the type of transaction you're looking to do. "As Is" might be preferred in short sale transactions, while the standard contract is preferred for longer term.